The president of the Fed of Atlanta, Raphael Bostic, recognized the persistent uncertainty about tariffs and their inflationary impact, highlighting at the same time the ability of the Federal Reserve to maintain patient given the strength of the labor market.
Key quotes
- The early warning about tariffs has allowed companies to manage the process.
- There is still a lot of uncertainty about where commercial policy will be directed.
- It will take time before total clarity on commercial policy arrives.
- Tariff impacts will develop over time.
- The risk of inflation related to tariffs will affect expectations; It is an open question.
- Much of the pricing of tariffs has not yet been incorporated into the economy.
- More information is needed to know what follows for monetary policy.
- Uncertainty about perspectives is more than just driven by commercial policy.
- People do not like when monetary policy is volatile.
- Fed has the luxury of being patient; The labor market is solid.
- The Fed has time to wait and see before acting on the rates.
- “I’m still there,” waiting for a cut this year.
- Planned three rates cuts next year.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
